ITT slides after launching stock offering to fund SPX Flow deal

Industrial parts supplier ITT's ITT.N shares slide ~6% to $170.55

ITT kicks off public offering of 7 million shares to fund a portion of its $4.8 billion acquisition of pump-maker SPX Flow from private equity firm Lone Star Funds

If acquisition falls through, proceeds will be used for general purposes

Goldman Sachs and UBS Investment Bank are lead book-running managers for offering

ITT will have ~85 million outstanding shares after the offering, according to prospectus

10 of 14 brokerages rate the stock "buy" or higher and four "hold"; median PT $215 — data compiled by LSEG

As of last close, ITT stock up 26.7% YTD